The Ocala City Council held a work session on August 12, 2025, to discuss the proposed budget for the fiscal year 2025-26. The meeting, led by Budget Director Tammy Haslam, focused on key financial details and upcoming public hearings related to the budget.

The proposed citywide budget totals approximately $115.2 million, supporting the council's strategic goals, including economic development and operational excellence. Haslam highlighted that the general fund budget is balanced at a millage rate of 6.6177, generating an estimated $53.6 million in ad valorem revenue for the next fiscal year, which is about $5 million more than the current year. However, only a portion of this revenue will be allocated to the general fund after transfers to other funds.

The budget also includes a fire assessment revenue target of $18.2 million, with no changes proposed to the assessment rates. The council will hold public hearings on the budget on September 3 and September 16, with an additional hearing for the fire assessment scheduled for September 11.

In terms of employee benefits, the budget accounts for wage increases for nonunion and fire union employees, while negotiations with the police union are ongoing. The city anticipates a $2.6 million increase in health insurance costs, leading to proposed adjustments in employee contributions.

The council discussed funding for nonprofit organizations, which remains consistent at $10,000 for several agencies, including the Marion County Children's Alliance and the PACE Center for Girls. The budget also allocates funds for the downtown development districts, projecting an additional $14,367 in revenue.

The meeting concluded with a discussion on the infrastructure sales surtax, which is expected to generate $12.2 million for capital projects, primarily in transportation, police, and fire services. The council confirmed that 60% of this revenue will be directed to transportation projects.

Overall, the work session provided a comprehensive overview of the proposed budget, emphasizing fiscal responsibility and community support as the council prepares for the upcoming public hearings.